The following transactions apply to MSU Co. for 2018, its first year of operations. 1 Issued $1,200,000 of common stock for cash. 2 Loaned $125,000 to CA Co. on September 1, 2018. The note had a one-year term to maturity and an 5% interest rate. All monies will be collected on Aug 31 2019 3 Recorded the accrued interest income on December 31, 2018 (see item 2). 4 Provided $980,000 of services on account. 5 Paid $370,000 of salaries expense for the year. 6 Uncollectible accounts expense is estimated to be 5.0% of service revenue on account. 7 Collected $770,000 cash from accounts receivable. 8 Paid a $28,000 dividend to the stockholders. a. REQUIRED Show the effects of the above transactions in a horizontal statements model. Prepare the income statement, balance sheet, and statement of cash flows for 2018. b